Dive Brief:
- Mega Consumers Cooperative, a Midwestern convenience retailer, has closed all of its remaining c-stores less than two years after declaring bankruptcy, according to a report from WQOW 18 News in Eau Claire, Wisconsin.
- Mega’s CEO Mike Buck said in a press release that the decision to shutter its stores was made after a financially challenging year, according to the report, which noted that Mega’s remaining c-stores closed on March 14.
- This follows several attempts by Mega to streamline operations and cut costs, including closing stores and ending its franchise agreement with the Holiday Stationstores banner last May.
Dive Insight:
When Mega filed for chapter 11 bankruptcy in September 2023, the company operated 31 c-stores, 23 of which were Holiday Stationstores, and had plans to close 13 “underperforming” locations so it could focus on its stronger sites.
The company emerged from bankruptcy in June 2024. In the leadup to that, it ended its franchise agreement for the Holiday Stationstores locations. Five of those stores were closed, while the rest were rebranded.
Now the remaining stores have all closed. Quoting a press release from Mega Co-op, WQOW said financial problems persisted, exacerbated by lower fuel margins, that eventually rendered the chain insolvent.
Mega Go-op did not reply to requests for comment on the closings. The banner’s website is no longer operational.
Inflation and other fiscal concerns have put pressure on the convenience retail industry for the past few years, impacting companies ranging from smaller family businesses up to 7-Eleven. Mega Co-op joins several other c-store operators that have gone out of business recently, including Mountain Express Oil, Gas Hub and Choice Market.
